June may turn out to be the luckiest month for government oil marketing companies for the third year in a row.

Funds released by the Centre not utilised properly: CAG

The Comptroller and Auditor General (CAG) of India has picked holes in the implementation of the Centrally-assisted solar photovoltaic project in the State during 2005-07. The project launched by the Ministry of New and Renewable Energy in January 2006 encouraged the use of solar lighting systems in rural areas to bring down the consumption of kerosene.

New Delhi Consumers could prepare for shortages in auto and cooking fuel supplies. Oil retailers IOC, HPCL and BPCL have informed the government that if their losses from selling fuel below cost are not adequately compensated, “it may adversely impact the supply-demand balance of petroleum products,” Minister of state for petroleum and natural gas R.P.N. Singh told Rajya Sabha on Tuesday.

The government on Tuesday stated that it has agreed in principle to deregulate diesel prices. Minister of state for finance Namo Narain Meena, in a written reply to the Rajya Sabha, said on Tuesday that the government is, however, not considering a similar proposal for cooking gas.

The minister said the “government has, in principle, agreed to make the prices of diesel market-determined”. Though petrol prices are market-linked, the government fixes the rates of LPG, kerosene and diesel. The minister, however, added that the government continues to fix the price of diesel in order to shield the common man from the impact of rising crude oil prices and the resulting inflation.

New Delhi The government today said it has agreed in-principle to the deregulation of diesel prices, but is not considering similar proposal for the cooking gas.

"Government has, in principle, agreed to make the prices of diesel market determined," Minister of State for Finance Namo Narain Meena said in a written reply to the Rajya Sabha.

‘Or cut excise duty and compensate our loss'

Fed up with the Centre's “indecision” on allowing an increase in fuel prices in the face of rising international crude prices, the oil marketing companies (OMCs) on Tuesday virtually threatened to increase petrol prices by Rs. 8.04 a litre. They said the government should either cut the excise duty on petrol and give them Rs. 49 crore a day in compensation or face a sharp price hike.

The failure of the Karnataka Renewable Energy Development Limited (KREDL) to properly implement the Solar Photovoltaic (SPV) Programme of the Union Ministry of Non-Conventional Energy Sources (MNES) for the years 2005 to 2007 has resulted in losses to the tune of crores of rupees.

Also, a probe into the implementation of the programme has revealed several irregularities in releasing money to suppliers, who had not participated in the tender process, the Comptroller and Auditor General (CAG) report has said.

Estimates point to 4-year-high of 4.9% rise in petroleum product sale trend likely to continue, says PPAC

The country’s diesel consumption rose a massive 11.9 per cent in 2011-12, leading to an expected 4.9 per cent growth in the sale of petroleum products in the just-ended financial year. That will mark a four-year-high growth, which is significantly above 2.9 per cent in 2010-11. The government’s projection for FY12 was 4.58 per cent.

New Delhi In what could give a reprieve to consumers who have been fearing another hike in petrol price, the government has decided to put the proposal in abeyance.

New Delhi The Petroleum ministry has sought an additional R40,000 crore in cash subsidies for the current fiscal to compensate fuel retailers for losses incurred on diesel and cooking fuels, even as oil minister S Jaipal Reddy gave no indication of a fuel price revision soon. Oil secretary GC Chaturvedi said state-owned fuel retailers are projected to lose close to R137,524 crore on selling diesel, domestic LPG and kerosene this fiscal.